Celestia to Unlock $1.06 Billion in TIA Tokens: Market Braces for Volatility
October 29, 2024If buyers emerge following the unlock, TIA could break through the $6.77 resistance level, potentially leading to upward momentum.
Celestia is preparing to unlock approximately 80.77% of its total supply of TIA tokens, valued at $1.06 billion, in just ten days, which is expected to significantly impact the market direction.
However, technical analysis reveals a head and shoulders pattern on the TIA/USD chart, suggesting a potential bearish trend reversal if the price falls below critical support levels.
Currently, TIA is trading at around $5.37, reflecting a slight increase, but bearish sentiment persists due to low social engagement and negative funding rates.
Should buying pressure increase, TIA might rise to $7.30 and even reach $10.40 after the anticipated token supply shock.
Despite some positive indicators, overall technical analysis suggests weakening bullish momentum and limited strength for TIA, with social engagement remaining low.
If market reactions to the unlock are negative, TIA could fall towards its support level of $3.83, indicating a potential breakdown.
The upcoming unlock event is critical for TIA's future performance, as the market's reaction to the influx of unlocked tokens will determine the token's trajectory.
Analysts are closely monitoring whether TIA can surpass the next major resistance level of $6.9, as doing so could trigger a larger rally, with targets potentially reaching $11.9.
Specifically, if TIA's price drops below the neckline at $4.73, it could decline further to $3.87, although maintaining defense above this level may avert significant losses.
Concerns are mounting regarding potential selling pressure from this large token release, which could negatively affect TIA's price.
The relative strength index (RSI) indicates a balanced market at 55.19, suggesting slight bullish potential, while the MACD is nearing a bullish crossover.
Summary based on 3 sources
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Sources
BeInCrypto • Oct 20, 2024
Celestia (TIA) Price Enters Critical Phase Ahead of $1 Billion Token UnlockAMBCrypto • Oct 23, 2024
Celestia targets $6.9 as market confidence rises: What's next for TIA?AMBCrypto • Oct 27, 2024
Celestia unlocks $1.06B in TIA: Price surge or sell-off next?